SGX derivatives and commodities volumes reach new highs in 2012

Singapore Exchange’s (SGX) derivatives and commodities markets achieved several new record highs in both December and the full year.

Securities market performance as measured by the Straits Times Index was up 20 per cent in 2012.

As in most global markets, trading activities declined. Nevertheless, securities trading in December grew strongly from a year earlier.

Securities turnover declined 12 per cent in 2012 to SGD321.5bn. Securities average daily value (SDAV) was 12 per cent down at SGD1.3bn. In December, turnover was up 39 per cent from a year earlier at SGD23.2bn; SDAV grew 46 per cent to SGD1.2bn.

Derivatives volume in 2012 reached a new high of 80.2 million contracts, up 11 per cent; daily average volume also grew 11 per cent to a new high of 326,595 contracts. Open interest reached a new high of 2.95 million contracts on 13 December. In December, volume was up 55 per cent from a year earlier at 8.0 million contracts; daily average volume grew 67 per cent to a record-high 402,920 contracts.

The volume of OTC interest rate swaps cleared totalled SGD316bn notional since the November 2010 launch. New trades cleared in 2012 totalled SGD85bn, up 39 per cent year-on-year. In December, volume of new trades cleared was SGD2.3bn, up 91 per cent from a year earlier.

Stock market capitalisation grew 20 per cent in 2012 to SGD935bn.

Bond listings reached a three-year high of SGD183.1bn in 2012, up 49 per cent from the previous year. There were 390 bond listings in 2012, up 36 per cent. The biggest listings during the year were the USGD2.25bn Indonesian sovereign bonds and the USGD2bn Nippon Life Insurance 30-year bond. In December, 16 bond listings raised SGD5.4bn. The value of listings was down 35 per cent from a year earlier. The largest bond listing in December was the USGD1bn Mongolian government bond.

SGX’s newer derivative contracts continued to gain traction, posting strong volume growth in December and all of 2012. China A50 futures volume tripled in 2012 to a new high of 10 million contracts. Trading of the contract also reached a new one-month high of 1.7 million contracts in December after achieving a record one-day volume of 196,968 contracts on 18 December.

Nikkei Dividend Index futures volume more than doubled in 2012 to a new high of 152,554 contracts. In December, volume was up 25 per cent from a year earlier at 5,533 contracts.

Volume of the Indian Nifty futures contracts in 2012 reached a new high 14.7 million contracts, up 0.3 per cent. December volume grew 4 per cent year-on-year to 1.2 million contracts.

SICOM rubber futures volume grew 55 per cent in 2012 to 255,815 contracts. In December, volume was up 21 per cent year-on-year to 20,442 contracts.

Volume of iron ore swaps cleared in 2012 more than doubled to 217,803 contracts, a new record high. In December, volume more than doubled to 18,968 contracts from a year earlier.